Current processing of woody biomass using tub grinders, chippers, and horizontal grinder/shredders produces commingled piles of wood, bark, needles, soil, and debris. The primary markets for such material are compost or combustion energy. Our previous characterization suggested that half or more of the comminuted biomass from forest residuals, tree service firms, and whole-tree chipping is bole or branch wood (aka “white wood”) which has significant positive value as furnish for particle board, premium grade fuel pellets, fiberboard, and second generation biofuels. The difference in price between hog fuel/compost and white wood chips can be anywhere from $20 to $60 per ton. Thus, if cost-effective sorting technologies can be developed, a substantial amount of new white wood fiber will be added to the marketplace.